In this chart, I highlighted the two possible scenarios for BTC in the upcoming days.
So far
BTCUSDT
seems to be losing steam since November 8th, MACD and RSI are clear examples of this decay. Omicron variant and FED around-the-corner tightening policy has further accelerated the sell-off. The short-term does not look great for Bitcoin and the crypto market. Sell-off could continue until the support in the $40.000 zone is reached, meaning that another $400b worth of crypto could be sold in the upcoming days.
It is important to remember that:
So far
BTCUSDT
seems to be losing steam since November 8th, MACD and RSI are clear examples of this decay. Omicron variant and FED around-the-corner tightening policy has further accelerated the sell-off. The short-term does not look great for Bitcoin and the crypto market. Sell-off could continue until the support in the $40.000 zone is reached, meaning that another $400b worth of crypto could be sold in the upcoming days. It is important to remember that:
- Worsening situation with the Omicron variant --> lockdowns ---> supply shock wave as workers cannot operate properly ---> higher inflation ---> FED would increase the pace of their tapering ----> Bitcoin becomes less appealing to investors as cash starts to regain value.